Core Infrastructure in manufacturing sector -Industrial Park set up by Private Institution

Financial Assistance to Industrial Estates/Parks in Private Institutions should be provided core Infrastructure in manufacturing sector.

Come into force from the issuance of this GR and remain in force for five Years.
(i.e. 26/02/2013 to 25/02/2018)

To identify the need to promote and encourage Industrial Parks by Private Institutions which aim at upgrading and improve State

Core Infrastructure facilities shall include cost for development of infrastructure such as internal roads, power line, communication facilities, water distribution line and water augmentation facilities , sewage and drainage lines, effluent treatment and disposal facilities and other facilities as may be required in the Park. The expenditure incurred for the core infrastructure development, excluding the land cost, shall be considered.

Gujarat Government announced its intention to attain to specific interventions in the sub-sectors of, Auto and auto Components ,Solar and Wind equipments manufacturing, Specialty and fine Chemicals, Electronic System Design and Manufacturing (ESDM) and Food and Agro Business.

• Private Institution:

  Any Industry association/industrial House or Institution registered under Societies Act, Partnership Act or the Companies Act shall eligible to avail assistance under the scheme for assistance to Industrial Parks/Industrial estates be treated as a Private Institution.

• Industrial Park:

  An Industrial Park coming up in private area/GIDC Estate for the establishment of Industrial units in the focus sectors. The Industrial Park shall have a minimum of 25 Industrial units.

• Date of Project Completion:

  Project shall be completed within 5 years from the date of approval of the project by the State Level Approval Committee. Buildings, Infrastructure Facilities & Utilities should be completed within four (4) years from the date of approval of project by SLAC. On submission of valid reasons by the Developer, the SLAC may extend completion period by one year to complete buildings, infrastructure facilities, utilities.

• The new Industrial Park will be provided incentive of 50 % of total expenditure limited to Rs. 20 crores for core infrastructure developed within the Industrial Park.
• The Developer of the Industrial Park and the first purchaser of Individual unit shall be eligible for exemption on payment of Stamp duty and registration charge on purchase of land required for the project as approved by SLAC. However, subsequent transactions shall attract stamp duty and other charges as applicable at the prevailing rates.

• The Industrial Park/Estate are required to have minimum infrastructure facilities required for the Parks/Estates namely, internal roads, water distribution facilities, sewage collection and treatment, power distribution, communication facilities and other facilities
• Indicative list of minimum infrastructure facilities are:
  • Asphalt Road/Cement Concrete Road.
  • Strom water drainage system.
  • Domestic sewerage collection and disposal system
  • Streetlights.
  • Open & Green spaces.
  • Water & Power supply & distribution network.
  • Entrance gate & security & communication network.
  • Parking
  • Effluent treatment, collection & disposal.
  • Fire station/Fire fighting facilities with equipments.
• The developer of Industrial Estates/Parks availing incentive under the scheme will not be eligible to avail incentive under any other schemes of the State Government, unless specified otherwise. However, the units coming up in the Industrial Estates / Parks will be eligible to avail incentives under separate schemes of the State Government.
• Approval of the Industrial Parks/Estate shall be accorded by SLAC.
  • Registration under the Scheme shall be approved by SLAC.
  • The assistance under the scheme shall be proportionally reimbursed in four installments within a maximum period of 4 years from date of possession of land.
  • Certificate for exemption in Stamp Duty and Registration charges shall be issued after the approval of the project by SLAC.
• The Developer of Industrial Park/Estate shall have to follow Third Party Quality Assurance (TPQS) system for the entire infrastructure development in the Industrial Park.
• Disbursement/requirement of the assistance sanctioned by SLAC shall be released on availability of Govt grant.
• Terms and conditions as decided by SLAC from time to time,shall be applicable to the Private Institution for development of Industrial Park/Estate.
• SLAC will be empowered to prescribe forms, checklist & procedure and will issue guidelines in this regard.

The industrial estates/parks are required to have minimum infrastructure facilities required for the estates/parks namely internal roads, water distribution network, drainage treatment, effluent treatment, power distribution network, communication network and other facilities.

For sanction of subsidy:

• In-principle approval of the proposed Park
  • Application in prescribed format.
  • Constitution of Applicant Company/Institution.
  • Project Report.
  • Annual Report of the promoter Company/Institution.
  • Copy of Acknowledgement under Industrial Park Scheme
  • Layout plan of Industrial Park.
• Final approval
  • Detailed Expenditure statements with C.A. Certificate.
  • Chartered Engineer Certificate.
  • GPCB/MoEF Clearance, if required.
  • Third Party Quality Assurance( TPQA) Certificate
  • Project Completion Certificate.

• In-principle approval to Industrial Park:
  • Scrutiny of application submitted in prescribed format as per checklist.
  • Developer is to be called for presentation within 15 days from receipt of application.
  • To be prepared agenda for approval of State Level Approval Committee within 21 days after presentation.
  • In-principle approval letter to be issued within 10 days from the date of approval.
  • Benefit of the stamp duty/exemption after approval by the SLAC.

  Stamp duty Certificate will issue by I.C

• Final Approval to Industrial Park:
  • The assistance under the scheme shall be proportionally reimbursed in four installments within a maximum period of 4 years from date of possession of land.
  • The assistance under the scheme would be disbursed first installments after the applicant enters an agreement with Industries Commissioner office.
  • On reimbursed of first ,second and third installments on adhoc basis with chartered Accountants ,Chartered Engineer’s Certificate and Detailed Expenditure Statement.
  • On reimbursement of final installments , developer to submit application on letterhead along with all information as per checklist on completion of development of Park endorsing copy to concerned DIC.
  • The team headed by GM DIC will inspect the site and submit report for eligible investment incurred under the scheme within 30 days from receipt of the application.
  • On final installments , Agenda to be prepared for approval of State Level Approval Committee within 21 days on receipt of verification report.
  • A formal approval letter will be issued within 10 days from approval.
  • Agreement will be executed between Developer & IC within 7 days on first disbursement installments.
  • Pay order will be issued within 10 days from receipt of copy of registered agreement deed.
  • Simultaneously, Grant Allocation Order will also be issued subject to availability of Grant.
  • On receipt of grant and pay order, bill will be lodged with Pay and accounts office and treasury office by the IC office within 7 days.

• The incentive is for development of Industrial Park suitable for setting up of minimum 25 Industrial units in atleast an area 100 acres .In the case of Food and Agri business the minimum area shall be 50 acres .
• Prior approval of SLAC is required before commencement of infrastructure facilities. Expansion or modification/modernization of existing Industrial Park/GIDC estate, shall not be eligible under the scheme.
• The promoter/Developer of Industrial Park or a SPV constituted for the purpose shall maintain the park for minimum period of five years from the completion of Park. Otherwise, the sanctioned /disbursed/ reimbursed amount shall be recovered as arrears of land revenue under the Land Revenue Laws.
• Project shall be completed within 5 years from the date of approval of the project by the State Level Approval Committee (SLAC). Buildings, Infrastructure facilities & utilities should be completed within four(4) years from the date of approval of project by SLAC. On submission of valid reasons by the Developer, the SLAC may extend the project completion & the Buildings, Infrastructure facilities & utilities completion period by one year.
• The detailed O&M arrangement and mechanism for third party inspection will have to the set up as an integral part of the project to claim assistance under the Scheme.
• Project need to be approved by SLAC before commencement of work. Any scheme, already indicated will not be eligible. The decision/interpretation of SLAC regarding the matter will be final.
• The Promoter /Developer of Private Institution of the Industrial Park / Estate or a SPV constituted for the purpose will maintain the park. Otherwise the sanctioned/disbursed/reimbursed amount will be recovered as arrears of land revenue under the Land Revenue Laws.
• Failure to complete core infrastructure facilities & utilities as mentioned in 2.1(c) (in GR) within the period of four years from the time of possession of land shall attract recovery of stamp duty as per rules.

• If the project sanctioned under the scheme mentioned above is not giving the definite outcome, which was envisaged during the sanction of the project, the committee will decide to take over the entire project and may transfer to any other Government agency such as Municipal Corporation, GIDC, Concerned Urban Development Authority, Nagarpalika etc. or to any private company as decided by SLAC.
• The sanctioned cases under the above referred schemes continue to get benefit as per the terms and conditions of the sanctioned order. The application pending may opt for new scheme to be de declared, if eligible. However, projects sanctioned and / or under implementation under this scheme will get additional one year and assets acquired and paid during this additional one year will also be considered for assistance under this scheme. The conditions for projects under pipeline will be decided by the implementing committee on the basis of the review of the projects under the scheme.
• The disbursement of the assistance shall be reimbursed proportionate to the expenditure incurred.
• The detailed procedure and guidelines for the implementation of the scheme would be approved by SLAC and will be circulated by Industries Commissioner, Gandhinagar.

The assistance under the scheme would be disbursed after the applicant enters an agreement with Industries Commissioner office.

Name : Shri G.H.Solanki
Designation: Jt. Commissioner of Industries(Infra)
Phone :079-23252654(O) , 079-23252586
E-mail :
icjciinfra@gujarat.gov.in
icioinfra@gujarat.gov.in
icjciinfra@gujarat.gov.in
icinfra@gujarat.gov.in